Hims & Hers Health heads into its June 11 earnings print with a striking divergence: short sellers are as entrenched as ever, yet options traders have pivoted sharply toward calls — the most bullish options posture the stock has seen in a year.
The call-side surge is the week's defining signal. The put/call ratio has fallen to 0.52, the lowest reading of the past 52 weeks, and nearly 1.8 standard deviations below its 20-day average of 0.62. That is a decisive shift from the cautious-to-neutral options tone documented in last week's note. The stock itself added 15.3% over the past week to close at $27.51, recovering ground lost after the May 11 earnings shock. Options traders are clearly positioning for more of the same — not hedging into the print, but reaching for upside.
Short interest tells a far less optimistic story. At 29.3% of the free float, the short book is virtually unchanged from last week's 29.2% reading, and availability has held at zero percent — every share in the lending pool remains out on loan. That borrow tightness is unchanged despite the week's rally, which means shorts neither covered into the move nor triggered any squeeze dynamic. Cost to borrow, at just 0.98% APR, fell another 5% on the week and remains near the cheapest level of the past six weeks. The ORTEX short score is 68.5, ranking in the bottom 6th percentile of the universe. This is a structurally crowded short that absorbed a 15% rally without flinching.
The Street is split, but the balance of recent moves tilts cautious. BofA Securities cut its target a second time in two weeks, trimming from $28 to $25 on May 26 while holding its Neutral rating — the third consecutive reduction from that desk since mid-May. Truist moved the other way, raising its target to $23 from $18, though it too remains at Hold. JPMorgan kept its Overweight rating but lowered the target to $33. Needham stayed the most constructive at Buy with a $35 target. The consensus mean price target is $26.61, fractionally below the current price — meaning the average analyst sees no upside from here. The bull case centres on the Novo Nordisk partnership and international expansion potential; the bear case flags compounding revenue risk as branded GLP-1 competition intensifies and regulatory scrutiny tightens. The PE multiple has drifted up to 25.4x over the past month as the stock recovered, compressing the margin of safety that briefly appeared post-May earnings.
One insider move stands out. Lead Independent Director David Wells purchased $1.17 million of stock on May 26 at $24.24 — a meaningful open-market buy at a price well below today's level. The CFO, by contrast, has been a consistent seller through April and May, offloading shares across multiple transactions. The divergence between a director buying and an executive selling is worth noting, though the director's purchase pre-dated the week's rally by several days, and the 90-day insider net is modestly positive overall at roughly $37 million bought versus sold.
The May 11 earnings reaction remains the most relevant data point going into June 11. The stock fell 11.5% the day after that print and was down 21.2% five days later — a severe double-leg decline that reset short interest from the high-30s to its current level in the high-20s. A replay of that kind of miss would test the conviction of options traders who are now sitting at the most call-heavy positioning of the past year, with zero availability in the borrow market to cushion any rush to add shorts.
The June 11 print is therefore less about the direction of telehealth demand and more about whether management can demonstrate that the GLP-1 compounding revenue cliff is manageable — and whether the Novo Nordisk partnership changes the trajectory enough to justify the call positioning that has built so aggressively this week.
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